Topic: Situation and sovering fiat currency here is example now (Read 47 times)

If you take fiat out of the game only crypto such us btc will stay and assets then crypto value will grow.
Fiat is ready to be gone.

Your words will be logical if you take assets that are opposite to each other, such as gold, the dollar, 10-year bonds, all of them can work opposite to each other, and therefore we can safely say that increasing one of them means decreasing the other, including buying more of the other against the first.

What will happen if real estate and bitcoin go down together which is something that could happen if recession is confirmed because both assets need more cash flow to keep growing.

Interesting fantasy
Let's just say that if you hadn't put in a dubious statement at the very beginning, and then didn't build the entire model on this statement, it could have turned out more "realistically". But at the very beginning, you said this: "because there will be a huge demand for cryptocurrency, so the value of cryptocurrency will increase." And this is not true or an assumption built on facts and arguments, it is just an overly optimistic assumption.
But as a scenario for the global collapse of the international financial system, and the leading economies - it’s even quite realistic!

In times we dont trust banks and govs anymore here is the thing if you dont have crypto but u have fiat you feel secure to own crypto and maybe gold right ?
So the crypto owners holders dont want your fiat currency so what you do ?
You try to offering your fiat currency to buy crypto with even 80% premium then unlikely you get the seller.
You are better off if you sell your assets such us real and estate maybe gold ....even becouse nobody dont want fiat
And off course you dont want to sell your house ffor cheap becouse there will be huge demand to get crypto so crypto value keep going up and all others wich can be traded to get crypto value such us fiat currency value going down maybe right ? So you borrow against your house as collateral just to get crypto but crypto u ll get it will be not same ammount of the value ur assets...so yes youll lose but at least you can get crypto in order to survive and use it when you traveling to used as non sovering payment system.
If people start use real estate to get crypto then value of crypto going higher and higher but the prices of real estate will fall becouse everbody start using property as collateral to get crypto for they daily needs to be payed also utility such us gas and electricity so the crypto owners will only give loan with high % against ur assets property gold might have some decent ammount of value but such items like phones cars and some luxury items watches will fall to 90% down against crypto and the end game is when crypto sellers will own most of the property and others will rent from them in order to have place to live becouse many will lose homes when they borrow with collateral their houses to get crypto.
But keep it mind that nobody dont buy your assets like house over 20% of price it is now. Becouse all assets will drop down by 80% and after that you can start selling them and crypto holders will give crypto on exchange ur assets off course you will be lucky if u get even 20% most likely you have to sell with 5% it goes fast for example if you house 100k you get 5k price value and from that value the crypto seller will give you only some % crypto if borrow and some cases they will not buy house from you not even with 5% so you give them with 2-3% off course u say its not right but u want to survive so you will be expecting any offers in order to get by in ur daily life and for those who got companies u will be hand over ur companies for cheap prices also to get crypto and those who got no assets they will be working off course to get crypto but there will be less crypto then demand so you work for free most likely to get crypto.
Also usa will say usdt and stable coins are not fiat they are different but when the sec will say this fiat currency will be gone allready and becouse big guys will collect usdt first and then you can start borrow from them on their favore off course if u have btc or other volatile crypto then u can get better loan rates then ur physical assets used as collateral.
As crypto is higly deflationary asset you will be paying high % to borrow crypto if u cry about fiat loans now then
This is most likely the situation here that low rates becouse fiat more supply then demand but crypto is limited supply so more demand then supply so rates to borrow will be 20-50% even normal so most people never gona be avail to pay back their crypto what they borrow.